'Coal of Africa Limited (?CoAL? or ?the Company?) is pleased to announce the granting by the South African Department of Mineral Resources (?DMR?) of a New Order Mining Right (?NOMR?) in terms of the Mineral and Petroleum Resources Development Act (Act 28 of 2002) for its flagship Makhado hard coking and thermal coal project in Limpopo Province" "the greatest and most immediate challenge currently facing the South African coal sector is security of supply for State-owned power utility Eskom, says professional services firm KPMG Africa mining transaction leader Werner Jacobs. “It is estimated, in terms of the Integrated Resource Plan Green Shoots Scenario, that Eskom will require 4.5-billion tons of coal by 2040, of which 2.5-billion tons are still unsecured,” he states, adding that this gap cannot be bridged soon, with some Eskom power stations being subject to supply constraints from as early as 2015. Jacobs explains that, from an economic point of view, it is not feasible for South Africa to discontinue using coal as a key source of electricity generation prema- turely. “Establishing new mines to supply existing and new coal-fired power stations is critical,” he emphasises. According to Jacobs, many consider the Waterberg region, in Limpopo, as the solution for Eskom’s future power needs, as the bulk of South Africa’s 67-billion tons of coal reserves reside in the region, according to the Coal Resources and Reserves Study of South Africa. It is our preference that if you wish to share this article with others you should please use the following link:
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